Token Flow represents the lifecycle and utility of tokens within a blockchain ecosystem, outlining their creation, distribution, utilization, and circulation across the platform. Here's a breakdown of the key stages in a typical token flow: Token Generation (Minting): Tokens are created via a smart contract or issuance protocol. This process ensures the supply is either capped or dynamically adjustable based on demand and governance policies. Initial Distribution: Tokens are allocated during an Initial Token Offering (ITO), Initial Coin Offering (ICO), or through airdrops. Alternatively, they may be issued as rewards for early adopters, investors, or platform contributors. Utility and Circulation: Tokens flow across the ecosystem, enabling various use cases, such as: Transactions: Medium of exchange for goods, services, or data. Access: Unlocking platform features, premium content, or API usage. Staking: Tokens are locked for governance participation or to earn rewards. Incentives: Rewarding user engagement, referrals, or content contributions. Ecosystem Redistribution: Tokens re-enter the ecosystem through: Rewards: Paid to validators, contributors, or creators. Fees: Circulated from users to validators or platform operators. Burn Mechanisms: Tokens may be burned (removed from supply) to stabilize value or reduce inflation. Governance and Growth: Token holders participate in governance, voting on upgrades, policies, or fund allocation. Their active role strengthens decentralization and community-driven development. Market Integration: Tokens are traded on decentralized (DEX) or centralized exchanges (CEX), allowing liquidity and price discovery. This step connects the internal economy with external markets.